CHINA's First PrePaid
Project: PrePaid Service
Duration: one year
PrePaid system and service activation. Result: China Mobile in Beijing got the first PrePaid SIMcard package and service infra. PrePaid helped Nokia mobile phones to grow market share in China with its wide portfolio of mobile phones.

CHINA's First SMS
Project: SMS Market-Making
Duration: 1,5 years
SMS texting market-making and service activation. Internet connected to China Mobile network. Result: SMS texting as a new method for communication opened to Chinese. SMS helped Nokia's mobile phones to take clear market leadership in China with their best texting UI.

Q: China for StartUps?
Do you have something
unique to replace the old
type of process?
China could become
your first market before
EU, U.S., others.
Speed is essential.

Q: China for Individuals?
Many skilled individuals
come to China to learn
Mandarin. Find a local
partner and establish
company: arts, marketing,
design, eatz etc. Compete
with knowledge and quality.

Q: China for SMEs?
SMEs seldom have resources for
Guanxi. SMEs face fierce price
competition as they have no
brand, meaning low margin.
China's scale is an enabler
but it must be understood.
Scale requires risk taking,
thinking big and Guanxi,
often problematic for SMEs.

Q: China for MNCs?
Most MNCs succeed in China
if not competing with SOEs.
Production for export, and
sales in mainland markets.

Q: Biz words in Mandarin?
New words are invented,
verify the accuracy!

Q: Talents available?
Yes but Confucian education system suppress innovation.
How to find real talents?
Then, how to motivate?

Q: Innovated in China?
Glorious past. But now
Chinese are latecomers,
have confidence problem.
Good in cost reduction by
redefined products, processes.
SMEs as China's innovation
force. Improving.

Q:
Indirect communication?
For Chinese smart way to
communicate, can be exciting!
In families, workplaces,
meetings and negotiations.
For foreigners frustrating.
Verify translations.

Q: Jump into assumption?
Chinese don't speak directly
and don't take just face
value of others speech. They
learn to read between the
lines, then make assumptions.
For foreigners frustrating.
If Chinese hold a strong
position In negotiation,
they can become very direct.

Q: Sharing information?
Information availability is not
fluent. Info is an asset,
give and expect to receive.
Access to info needs Guanxi,
for foreigners difficult.

Q: Guanxi in Mainland?
It is more than connections,
LinkedIn, Facebook, lobbying,
or Starbucks together.
It's business art, insurance
and career enabler.
It's differentiation in situation.
It's exchanging favors.
It's private, it needs care.
Learn about Guanxi, accept
that only Chinese can master
it, their ancient Yi.

Q: Chinese and emotions?
Poker face reputation!
But very low threshold
on controlling emotions.
Critical views may cause
emotional reaction, not
followed by the reasoning.
A few exceptions.

Q: Face saving problem?
Face is stronger than facts.
To admit a problem is complex
issue: pride vs loss of face.
Lack of open communication
means confusion at work.

Q: Red Face, White Face?
Role playing is common
in Chinese negotiations.
Good cop, bad cop system.
When in strong position,
Chinese can be direct.

Q: Laws and rules?
Has laws but legal
protection still weak.
Find an industry expert
to clarify the practices.

Q: IPR, piracy realities?Not a copy. Our creative
persons just have similar
experience background
as yours, said a Chinese
VP of a NASDAQ listed
company, about their
100% proven copy product.
Confidence on own ideas weak.

Q: Mission, vision, strategy?
Careful with all business
and industry specific
words. Chinese are often
confused with new business
words. Their exact meaning
is seldom understood or
clear in mainland China.
Ask business plan, and wait
while others take opportunity.

Questions or Feedback

Ask BeijingMan

Q: What is it foreigners don't get right about business in China?

No.1
It's already a cliché: the culture. Chinese mentality, how people think, have learned to behave and do,. The business culture which mixes culture, Guanxi and capitalism. Projects, JVs and SMEs can fail for culture and mentality reasons.No.2
Guanxi is the way of business in China. Sales: your product is just 50%, your Guanxi is the other 50%. To win the bid, good Guanxi is a must. Partners: Guanxi means motivation to join to really work for you. Buyers: Guanxi opens opportunities with right pricing.No.3
Macro information everywhere. Big numbers, yes. Lack of real industry expertise prevents access to knowledge, markets and projects to succeed.No.4
Western experience doesn’t prepare well for China. Many admire China's modern surface without understanding Chinese mentality. Westerners are stuck into their lawful and rational model without understanding Chinese emotions and flexibility. China dilemma is the principles vs. flexibility needed by Chinese business environment, and for Guanxi.No.5
Language barrier leaves most foreigners an outsider.